Trending News|September 13, 2016 06:23 EDT
SoftBank's ARM Takeover: $32 Billion Acquisition Now A Done Deal; Japan Makes Demands On UK Following Brexit
The Japanese government is throwing its weight around following the news about SoftBank's $32 billion acquisition of British chip manufacturing company ARM, which was announced Monday.
The news about SoftBank and ARM is not really surprising considering that this was already announced in July this year. The amount of the deal was said to be £24 billion, according to CNET.
Back then SoftBank CEO Masayoshi Son said, "ARM will be an excellent strategic fit within the SoftBank group as we invest to capture the very significant opportunities provided by the 'Internet of Things.'"
While ordinary Brits won't find the deal significant since most don't recognize either company, but every time they buy a phone, there's a high chance it's being powered by the chip manufacturer.
Meanwhile, Japan sent out an unusually strong-worded memo in time for the G20 Summit in China for Britain to do some damage control in light of its exit from the European Union (E.U.).
The Japanese government said that the country is heavily invested in the United Kingdom (U.K.), and the news about SoftBank and ARM deal is one such example.
Among the demands made by the government of the U.K. are:
- maintenance of the current level of information protection and the free transfer of data;
- unified protection of intellectual property rights;
- liberalization of trade in goods without the burdens of customs duties and procedures;
- maintenance of the current levels of information protection and the free transfer of data in case the U.K. establishes its own legislation distinct from the E.U.'s;
- ensuring the consistency of regulations and standards between the U.K. and the E.U.;
In light of the takeover of Softbank, ARM chairman Stuart Chambers resigned soon after the deal was finalized. A number of executives and supervisors also stepped down to give SoftBank free rein on employment and appointments, the news reports said.